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Matthew Strader and his partner, Ross Stone, were scouting for a spot to build their dream home when they first stumbled upon the hill at Fern and Katie avenues and fell in love with the view of downtown Nashville.

They took a bet and built in the area dotted mostly with abandoned homes. “Everybody thought we were crazy,” Strader recalled.

That gamble paid off when that and two other homes the couple built to cash in on demand were sold for record prices for that area, including to a pair of current and former Tennessee Titans. Now they’re gearing up for the next evolution of the neighborhood known as Katie Hill with plans to start building Fern Avenue View, a community of loft-style townhomes.

Katie Hill’s emergence is among bright spots of growth targeted by Nashville North by Northeast United, the community effort to foster economic development on the residential and commercial fronts. “We want it to be a controlled growth, not a cram it in as fast as you can,” said Lindsey Langley, a key group member who last year bought one of the homes Strader built and is leading efforts to create a new identity for the Katie Hill neighborhood.

Much like when Strader and Stone discovered Katie Hill, Langley was smitten by the view of Nashville’s downtown. She grew up in Franklin but discovered the area when she was looking for a place to live after returning to the area from New Orleans. Over the holidays, she helped to organize a Christmas party for 40 Katie Hill children, who received gifts including jackets to keep them warm as they wait for the school bus.

Such efforts to build community, including a neighborhood watch, are what set Langley, Strader and Stone apart. As Katie Hill redevelops, they want to retain diversity among residents and the price points of homes.

Notwithstanding, homes within Fern Avenue View will start at $289,000. “It’s going to be marketed as a live-work space, meaning you could have an office space within your personal dwelling,” Strader said, citing a musician studio or law office as examples. Strader expects the first 15 homes to be built in phases and completed by year-end. Work should start next year on another dozen homes, he added.

The couple aren’t the only ones building homes around Katie Hill. At 125 Fern Ave., Marguerita Jackson, an African-American writer in her 40s, plans soon to start building a $360,000 home on property she purchased. Jackson, who now rents a home across town in Sylvan Park for $1,900 a month, hopes taking that leap leads others to build in the neighborhood.

“A lot of those properties are owned by investors, and they’re waiting for the neighborhood to improve before building,” she added. “Like anything in life, one person has to stand out and do it and people will follow suit.”

Frank Harrison, the area’s Metro councilman, said neighbors welcome improvements to the area, although some are concerned about the potential impact of new more expensive homes on their taxes. “It’s all good,” said retiree Charles Black, a resident of 52 years who hopes the new homes will boost the value of his property, which he doesn’t intend to sell.

Whitney Walter, who owns one of the first three homes Strader built, also has memories of not-so-fun times on Katie Hill. She attributes some of those problems to a crack house that was later shut down and to a biker bar off Brick Church Pike whose patrons would ride fast up and down Fern Avenue late on Saturday nights. “We definitely believe it’ll be the next area of Nashville to make a change,” Walter added.

Langley counts sidewalks as a major priority for local residents. She also sees potential for more boutique-type retailers setting up shop closer to the area to serve a growing community.

While searching for a park close to the area, Langley stumbled upon Lock One Park in an area called Heaton’s Station near Baptist World Center Drive. It has a good view of the Cumberland River but is dotted with mostly abandoned homes.

“I just have this vision for this park and it has to do with picnic tables,” Langley said. “I’d like to see a boat dock where people could stop on the way to Titans games. They need a restaurant there.”